Why the story (IP) is Altcoin this week to see it amid a decline in the market star-news.press/wp

Layer-1 (L1) IP IP has emerged as the best winner in the market today, challenging the broader decline in the spread of 4 % in the past 24 hours.

However, despite the increase in prices, the warning signs are flashing below the surface. The activity on the chain remains silent, indicating that the assembly may not be supported by strong basics.

Traders are betting on PI despite the high prices

While most cryptocurrencies were traded a day, PI rid the trend to record gains. However, the gathering may not last long, as the scales on the chain indicate the increasing doubts between merchants.

For example, amid 4 % rising over the past day, the daily trading volume of IP decreased by 38 %, indicating that fewer participants support upward price movement.

When the price of the original rises during its decrease in its trading volume, it indicates that less than the participants lead the price of price. This indicates poor momentum in purchase or the lack of wide support for the market behind the high IP prices.

Such conditions make the gathering the currency is not sustainable, which increases the risk of reflection or retreat.

Moreover, the IP financing rate is still negative, which reflects that many traders in the futures market are taking short positions, as the price decreases. From writing this report, this is -0.14 %.

The financing rate is periodic fees paid among traders in the permanent futures markets to maintain contract prices in line with the immediate price. When the financing rate is negative, short traders push long traders, indicating that the majority of the market is betting on low prices.

In the case of IP, the negative financing rate indicates that many traders expect the reversal of the last prices. This reflects the continuous declining pressure that has kept the wrong currency during the past few weeks.

Can IP return? Symbolic eyes $ 3.17 if the request is back

As of the writing of these lines, IP is trading at $ 2.75, hovering above the main support level at $ 1.59. If the demand is weak, the IP risks decrease without this floor and may fall under the sign of $ 1.

However, the recovery in the new demand for Altcoin can nullify this landfill. In this scenario, the IP price may recover about $ 3.17. A successful break over that resistance can pay the price of the IP code towards a level of $ 4.41.